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Innovative Solutions Canada - Artificial intelligence (AI) - Canada
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Source verified June 10, 2026

Innovative Solutions Canada - Artificial intelligence (AI)

Supports testing innovative AI prototypes for Canadian government needs
Funding available
$ 2,300,000
Deadline
July 22, 2025
Opened June 27, 2025
Location
Canada
Who can apply

Canadian companies with pre-commercial innovative prototypes in artificial intelligence (AI), robotic process automation (RPA), and automated decision-making

See full eligibility

Overview

The Innovation, Science and Economic Development Canada (ISED) Artificial Intelligence (AI) Testing Stream provides up to $2,300,000 in funding to support the procurement, testing, and evaluation of late-stage pre-commercial AI and robotics prototypes in real-world government environments. Eligible activities include the development and deployment of innovative solutions addressing automation, advanced data processing, intelligent decision-making, sensor technology, and communications for federal priorities.
/100
Opportunity Score
Moderate potential, but conditions must align.

At a glance

Funding available

Financing goals
  • Develop a new product or service
Eligible Funding
  • Maximum amount : 2,300,000 $

Eligible candidates

Eligible Industries
  • All industries
Location
  • Canada
Legal structures
  • Sole proprietorship
  • For-profit business
Annual revenue
  • All revenue ranges
Organisation size
  • All organization sizes
Audience
  • Canadians
  • Startups

Next Steps

1
Determine your project
2
Validate your eligibility

Activities funded

  • Testing and evaluation of innovative artificial intelligence (AI) and robotic process automation (RPA) prototypes for government use.
  • Deployment and assessment of advanced sensor, surveillance, and communication technologies to enhance data collection and operational capabilities.
  • Development and implementation of AI-driven solutions for automating administrative workflows and improving decision-making processes.
  • Integration of multi-sensor data fusion, edge computing, and real-time data analysis technologies to support operational environments.
  • Prototyping advanced technologies for object detection, predictive maintenance, and secure data processing within government settings.

Official resources

Official page

artificial intelligence ai

Eligibility

Who is eligible?

  • Canadian companies with pre-commercial innovative prototypes in artificial intelligence (AI), robotic process automation (RPA), and automated decision-making
  • Businesses developing advanced sensor and surveillance technologies
  • Firms specializing in multi-sensor fusion and data patterning technologies
  • Canadian enterprises advancing operational technology, IT infrastructure, or communication technologies
  • Small and medium-sized enterprises (SMEs) developing innovative solutions for government and military applications

Who is not eligible

  • Companies that are not Canadian offerors, meaning those without a permanent place of business in Canada.
  • Organizations whose proposal includes innovations that are already commercially available or have previously been sold on a commercial basis.
  • Businesses proposing an innovation that has already been awarded a contract under the Build in Canada Innovation Program (BCIP), the Canadian Innovation Commercialization Program (CICP), or the Innovative Solutions Canada (ISC) Testing Stream, unless specific conditions for reapplication are met.
  • Offerors not meeting the requirements for Canadian content (minimum 80% Canadian goods or services in the proposal).
  • Companies that do not own or have exclusive rights to the intellectual property (IP) of the proposed innovation.

Eligible expenses

  • Costs associated with the development and testing of late-stage pre-commercial prototypes in real-life operational environments.
  • Procurement of Canadian goods or Canadian services directly involved in the prototype testing process (minimum 80% of total proposal costs must be Canadian goods or services).
  • Expenses required to secure and maintain necessary certifications, licenses, and approvals to safely deploy and test the proposed innovation.
  • Personnel salaries and wages for Canadian employees and contractors involved in the prototype testing and operational deployment.
  • Costs related to risk assessment and the implementation of mitigation measures to ensure safety, security, and compliance during the operational test.

Eligible geographic areas

  • Companies with a permanent place of business in Canada and conducting activities within Canada.

Selection criteria

  • Advancement over current state-of-the-art solutions (up to 40 points).
  • Suitability and robustness of the intellectual property (IP) strategy (up to 12 points).
  • Equity, diversity, and inclusion (EDI) benefits, based on established policies and measures (up to 12 points).
  • Credible and well-developed commercialization strategy (up to 32 points).
  • A minimum total score of 60 out of 96 points is required to qualify at the selection stage.

How to apply

  • Step 1: Review Solicitation Documents
    • Carefully read all solicitation documents related to the call for proposals.
    • Ensure you understand the scope, requirements, and evaluation criteria.
  • Step 2: Assess Innovation Alignment
    • Confirm your innovation addresses the specified problem statements and meets one or more of the outlined outcomes.
    • Verify your innovation is at the appropriate technology readiness level and ready for operational testing.
  • Step 3: Gather Required Information and Documentation
    • Prepare evidence of Canadian ownership or exclusive licensing of intellectual property.
    • Compile details demonstrating compliance with financial, operational, and Canadian content requirements.
    • Document information regarding certifications, risk mitigation measures, and operational readiness.
    • Develop a commercialization strategy and an intellectual property (IP) strategy relevant to your innovation.
    • Prepare documentation on equity, diversity, and inclusion (EDI) practices.
  • Step 4: Complete Application Form
    • Access the application portal via the "Apply/Login" link provided in the call for proposals.
    • Fill out the online application, providing all required details as per the solicitation.
    • Identify the problem statement(s) and outcome(s) your innovation addresses.
  • Step 5: Submit Application
    • Upload all required supporting documents through the application portal.
    • Review your application thoroughly for completeness and accuracy.
    • Submit your proposal before the closing date and time (July 22, 2025, 14:00 Eastern Time).
  • Step 6: Application Confirmation
    • Receive confirmation of submission through the portal or by email.
    • Retain the confirmation for your records.
  • Step 7: Respond to Requests for Additional Information
    • Monitor email for any requests from the evaluating body for clarification or additional information.
    • Provide responses within the timeframe indicated.

Additional information

  • The Pathway to Commercialization (PTC) allows eligible SMEs whose innovations reach market-readiness (TRL 9) after a Testing Stream contract to sell directly to the Government of Canada.
  • Innovations placed on the PTC source list may be available for government purchase for up to three years following successful assessment.
  • Participation in the PTC precludes eligibility for future Testing Stream contracts for the same innovation.
  • All proposals must clearly identify which specific outcomes they address from the call for proposals.

Contacts

Other components of this program

Explore related funding streams and grants that belong to the same program.

Frequently Asked Questions about the Innovative Solutions Canada - Artificial intelligence (AI) Program

What is the Innovative Solutions Canada - Artificial intelligence (AI)?

The Innovation, Science and Economic Development Canada (ISED) Artificial Intelligence (AI) Testing Stream provides up to $2,300,000 in funding to support the procurement, testing, and evaluation of late-stage pre-commercial AI and robotics prototypes in real-world government environments. Eligible activities include the development and deployment of innovative solutions addressing automation, advanced data processing, intelligent decision-making, sensor technology, and communications for federal priorities.

How much funding can be received?

Innovative Solutions Canada - Artificial intelligence (AI) Funds up to $2,300,000 of admissible expenses.

What is the deadline to apply?

The application deadline for this grant program was July 22, 2025.

Who is eligible for the Innovative Solutions Canada - Artificial intelligence (AI) program?

To be eligible for the Innovative Solutions Canada - Artificial intelligence (AI) program, you must: The applicant must be a Canadian company with a place of business in Canada. At least 80% of proposal costs must be Canadian goods or services. The applicant must own or hold exclusive rights to the innovation's intellectual property.

What expenses are eligible under Innovative Solutions Canada - Artificial intelligence (AI)?

Testing and evaluation of innovative artificial intelligence (AI) and robotic process automation (RPA) prototypes for government use. Deployment and assessment of advanced sensor, surveillance, and communication technologies to enhance data collection and operational capabilities. Development and implementation of AI-driven solutions for automating administrative workflows and improving decision-making processes. Integration of multi-sensor data fusion, edge computing, and real-time data analysis technologies to support operational environments. Prototyping advanced technologies for object detection, predictive maintenance, and secure data processing within government settings.

Who can I contact for more information about the Innovative Solutions Canada - Artificial intelligence (AI)?

You can contact Innovation, Science and Economic Development Canada (ISED) by email at TPSGC.PASICVoletessai-APISCTestingStream.PWGSC@tpsgc-pwgsc.gc.ca.

Where is the Innovative Solutions Canada - Artificial intelligence (AI) available?

The Innovative Solutions Canada - Artificial intelligence (AI) program is available across Canada.